Essentials of Modern Business Statistics with Microsoft Office Excel (Book Only)
7th Edition
ISBN: 9781337298353
Author: David R. Anderson, Dennis J. Sweeney, Thomas A. Williams
Publisher: South-Western College Pub
expand_more
expand_more
format_list_bulleted
Concept explainers
Videos
Textbook Question
Chapter 12, Problem 12.2.2CP
Fuentes Salty Snacks, Inc.
Six months ago Fuentes Salty Snacks, Inc. added a new flavor to its line of potato chips. The new flavor, candied bacon, was introduced through a nationwide rollout supported by an extensive promotional campaign. Fuentes' management is convinced that quick penetration into grocery stores is a key to the successful introduction of a new salty snack product, and management wants to determine whether availability of Fuentes' Candied Bacon Potato Chips is consistent in grocery stores across regions of the U.S. Fuentes Marketing department has selected random samples of 40 grocery stores in each of its eight U. S. sales regions:
• New England (Connecticut, Maine, Massachusetts, New Hampshire, Rhode Island, and Vermont)
• Mid-Atlantic (New Jersey, New York, and Pennsylvania)
• Midwest (Illinois, Indiana, Michigan, Ohio, and Wisconsin)
• Great Plains (Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, Oklahoma, and South Dakota)
• South Atlantic (Delaware, Florida, Georgia, Maryland, North Carolina, South Carolina, Virginia, Washington DC, and West Virginia)
• Deep South (Alabama, Arkansas, Kentucky, Louisiana, Mississippi, Tennessee, and Texas)
• Mountain (Arizona, Colorado, Idaho, Montana, Nevada, New Mexico, Utah, and Wyoming)
• Pacific (Alaska, California, Hawaii, Oregon, and Washington)
The stores in each sample were then contacted, and the manager of each store was asked whether the store currently carries Fuentes' Candied Bacon Potato Chips. The complete data set is available in the DATAfile named FuentesChips.
Fuentes' senior management now wants to these data to assess whether penetration of Fuentes' Candied Bacon Potato Chips in grocery stores is consistent across its eight U.S. sales regions. If of Fuentes' Candied Bacon Potato Chips in grocery stores differs across its U.S. sales regions, Fuentes' management would also like to identify sales regions in
which penetration of Fuentes' Candied Bacon Potato Chips is lower or higher than expected.
Managerial Report
Prepare a managerial report that addresses the following issues.
2. Use the data from Fuentes' study to test the hypothesis that the proportion of grocery stores that currently carries Fuentes' Candied Bacon Potato Chips is equal across its eight U.S. sales regions. Use
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
A new brand of women
clothes is to enter the
Lebanese market. Like all
other companies, this
women's fashion company has
a research team that is
responsible for conducting a
survey to collect and analyze
information on the region and
population in order to better
understand their customers'
characteristics, their profile,
and their purchasing pattern.
What type of research
question is probably going to
be used by the research team?
Casual
Exploratory
Descriptive
Exploratory and Casual
Would an observational study or an experiment be more appropriate for a medical research team that is trying to figure out if a new medicine is effective in treating migraines? Justify your response.
A mail-order catalog business that sells personal computer supplies, software, and hardware maintains a centralized warehouse for the distribution of products ordered. Management is currently examining the process of distribution from the warehouse and has the business objective of determining the factors that affect warehouse distribution costs. Currently, a handling fee is added to the order, regardless of the amount of the order. Data that indicate the warehouse distribution costs and the number of orders received have been collected over the past 24 months and can be seen below:
Months
Distribution Cost ($thousands)
Number of Orders
1
52.95
4015
2
71.66
3806
3
85.58
5309
4
63.69
4262
5
72.81
4296
6
68.44
4097
7
52.46
3213
8
70.77
4809
9
82.03
5237
10
74.39
4732
11
70.84
4413
12
54.08
2921
13
62.98
3977
14
72.30
4428
15
58.99
3964
16
79.38
4582…
Chapter 12 Solutions
Essentials of Modern Business Statistics with Microsoft Office Excel (Book Only)
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, statistics and related others by exploring similar questions and additional content below.Similar questions
- You are on the board of directors for Sew and Tell, an up and coming apparel brand focusing on producing t-shirts with a positive message. The company is looking to ramp up production and has hired an independent consulting group to evaluate the profitability of either a medium or large scale expansion. Your boss, the company president Jack Pott, has sent you the following email: Board of Directors Member, The consulting group has completed the analysis. The following table breaks down the results with us pursuing either a medium or large scale expansion. It gives low, medium, and high projections, the associated amount of profits (in thousands of $), and the probability of each outcome happening. Medium-Scale Expansion Profit 50 Large-Scale Expansion Profit Probability Probability Low .2 .2 Medium 150 .5 100 .5 High 200 .3 300 .3 Personally, I would love to hit the jackpot and reach a profit of $300,000, but our goal as a company is to maximum profit in the least risky way. Taking…arrow_forward“The US Centers for Disease Control and Prevention said about 72 million Americans—nearly one out of every four of the country’s 304 million residents—are considered obese. Millions more are designated as overweight.” The American trend toward obesity has prompted many physicians to offer weight-loss programs to their patients. [Source: Price, W. T. “Physicians Get into the Weight-Loss Business.” Florida Today, July 7, 2008.] A physician conducted an experimental study to compare the effectiveness of four different weight-loss programs. In the study, 64 obese adults were randomly assigned to the four programs so that each program had 16 adults. The programs lasted for six months. The weights of the subjects were measured before and after the programs, and each subject’s weight loss was computed in pounds. The following table summarizes the results of the study, giving the number of observations and the sample mean and variance of the subjects’ weight loss in each program.…arrow_forward"The US Centers for Disease Control and Prevention said about 72 million Americans-nearly one out of every four of the country's 304 million residents-are considered obese. Millions more are designated as overweight." The American trend toward obesity has prompted many physicians to offer weight-loss programs to their patients. [Source: Price, W. T. "Physicians Get into the Weight-Loss Business." Florida Today, July 7, 2008.] A physician conducted an experimental study to compare the effectiveness of four different weight-loss programs. In the study, 60 obese adults were randomly assigned to the four programs so that each program had 15 adults. The programs lasted for six months. The weights of the subjects were measured before and after the programs, and each subject's weight loss was computed in pounds. The following table summarizes the results of the study, giving the number of observations and the sample mean and variance of the subjects' weight loss in each program. Treatment…arrow_forward
- GreenLawns provides a lawn fertilizer and weed control service. The company is adding a special aeration treatment as a low-cost extra service option, which it hopes will help attract new customers. Management is planning to promote this new service in two media: radio and direct-mail advertising. A media budget of $3,500 is available for this promotional campaign. Based on past experience in promoting its other services, GreenLawns obtained the following estimate of the relationship between sales and the amount spent on promotion in these two media. S = −2R2 − 10M2 − 8RM + 18R + 34M where S = total sales in thousands of dollars R = thousands of dollars spent on radio advertising M = thousands of dollars spent on direct-mail advertising. GreenLawns would like to develop a promotional strategy that will lead to maximum sales subject to the restriction provided by the media budget. (a) What is the value of sales (in dollars) if $2,500 is spent on radio advertising and $1,000 is…arrow_forwardOn August 24, 2010, a headline in The Boston Globe read “Researchers link chronic fatigue syndrome to class of virus”. The story reported on a study of 37 patients with the disease. 32 tested positive for a particular suspicious virus. Only 3 of 44 healthy people tested positive. A 2003 study in the Archives of Internal Medicine reported that “The overall ... prevalence of CFS ... was 235 per 100,000 persons.” Construct the contingency table for this diagnostic tool. Explain why this test is potentially important for research on chronic fatigue syndrome but might not be a good screening test.arrow_forwardOn August 24, 2010, a headline in The Boston Globe read “Researchers link chronic fatigue syndrome to class of virus”. The story reported on a study of 37 patients with the disease. 32 tested positive for a particular suspicious virus. Only 3 of 44 healthy people tested positive. A 2003 study in the Archives of Internal Medicine reported that “The overall ... prevalence of CFS ... was 235 per 100,000 persons.” Construct the contingency table for this diagnostic tool.arrow_forward
- A Midwest college admissions committee recently conducted a study to determine the relative debt incurred by students receiving their degrees in four years versus those taking more than four years. Some on the committee speculated a four-year student would likely be attending full time, whereas one taking more than four years could have a part-time job. However, average total debt provides only part of the information. Since the average, or mean, is affected by both large and small values, the committee also needed some way to determine the relative variances for the two groups. Samples of size 20 produced standard deviations of 2,636 for four-year graduates and 1,513 for those taking more than four years. Conduct a test of hypothesis to determine if the standard deviation of the debt for four-year graduates is larger than those taking more than four years. Use a significance level of 0.05.arrow_forwardGreenLawns provides a lawn fertilizer and weed control service. The company is adding a special aeration treatment as a low-cost extra service option, which it hopes will help attract new customers. Management is planning to promote this new service in two media: radio and direct-mail advertising. A media budget of $3,500 is available for this promotional campaign. Based on past experience in promoting its other services, GreenLawns obtained the following estimate of the relationship between sales and the amount spent on promotion in these two media. S-2R²10M²8RM +18R+ 34M where GreenLawns would like to develop a promotional strategy that will lead to maximum sales subject to the restriction provided by the media budget. (a) What is the value of sales (in dollars) if $2,000 is spent on radio advertising and $1,500 is spent on direct-mail advertising? S = $ |x S = total sales in thousands of dollars R thousands of dollars spent on radio advertising M = thousands of dollars spent on…arrow_forwardJoseph Randal has just been named the director of alumni relationships at a local university. Alumni donations are an important source of revenue for colleges and universities. If administrators could determine the factors that could lead to increases in the percentage of alumni who make a donation, they might be able to implement policies that could lead to increased revenues. Research shows that students who are more satisfied with their contact with teachers are more likely to graduate. As a result, one might suspect that smaller class sizes and lower student/faculty ration might lead to a higher percentage of satisfied graduates, which in turn might lead to increases in percentage of alumni who make a donation. Joseph is feeling an extra pressure to increase total giving to the university because of recent budget cuts. Joseph is also feeling pressured to increase the percentage of alumni to give. Joseph found this new metric called average alumni giving rate U.S. News &…arrow_forward
- Overhead Door (OD) Corporation’s founder, C. G. Johnson, invented the upward-lifting garage door in 1921 and the electric garage door opener in 1926. Since then OD has been a leading supplier of commercial, industrial, and residential garage doors sold through a nationwide network of more than 450 authorized distributors. They have built a solid reputation as a premier door supplier, commanding 15 % share of the market. Suppose that customers assess door quality first in terms of the ease of operation, followed by its durability. The quality improvement team (QIT) might then assign an engineering team to determine the factors that contribute to these two main problems. Smooth operation of a garage door is a critical quality characteristic that affects both problems: If a door is too heavy, it’s difficult and unsafe to balance and operate; if it’s too light, it tends to buckle and break down frequently or may not close properly. Suppose the design engineers determine that a standard…arrow_forwardThe monthly jobs report always gets a lot of attention. Presidential candidates refer to the report when it favors their position. Referring to the August 2012 report in which only 96,000 jobs were created, Republican presidential challenger Mitt Romney stated "the weak jobs report is devastating news for American workers and American families ... a harsh indictment of the president's handling of the economy." When the September 2012 report was released showing 114,000 jobs were created (and the previous report was revised upwards), some supporters of Romney claimed the data were tampered with for political reasons. The most famous statement, "Unbelievable jobs numbers...these Chicago guys will do anything..can't debate so change numbers," was made by former Chairman and CEO of General Electric In the discussion use this fact and state your side. It is known that the standard error of the monthly estimate is 55,000. Given that, what do you think of the difference between the two job…arrow_forwardThe monthly jobs report always gets a lot of attention. Presidential candidates refer to the report when it favors their position. Referring to the August 2012 report in which only 96,000 jobs were created, Republican presidential challenger Mitt Romney stated "the weak jobs report is devastating news for American workers and American families ... a harsh indictment of the president's handling of the economy." When the September 2012 report was released showing 114,000 jobs were created (and the previous report was revised upwards), some supporters of Romney claimed the data were tampered with for political reasons. The most famous statement, "Unbelievable jobs numbers...these Chicago guys will do anything..can't debate so change numbers," was made by former Chairman and CEO of General Electric. What do you think? The standard error of the monthly estimate is 55,000. Given that, what do you think of the difference between the two job reports?arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Glencoe Algebra 1, Student Edition, 9780079039897...AlgebraISBN:9780079039897Author:CarterPublisher:McGraw Hill
Glencoe Algebra 1, Student Edition, 9780079039897...
Algebra
ISBN:9780079039897
Author:Carter
Publisher:McGraw Hill
Mod-01 Lec-01 Discrete probability distributions (Part 1); Author: nptelhrd;https://www.youtube.com/watch?v=6x1pL9Yov1k;License: Standard YouTube License, CC-BY
Discrete Probability Distributions; Author: Learn Something;https://www.youtube.com/watch?v=m9U4UelWLFs;License: Standard YouTube License, CC-BY
Probability Distribution Functions (PMF, PDF, CDF); Author: zedstatistics;https://www.youtube.com/watch?v=YXLVjCKVP7U;License: Standard YouTube License, CC-BY
Discrete Distributions: Binomial, Poisson and Hypergeometric | Statistics for Data Science; Author: Dr. Bharatendra Rai;https://www.youtube.com/watch?v=lHhyy4JMigg;License: Standard Youtube License